Rupee gains for third session

The rupee rose for a third session on Thursday, its biggest winning streak in over a month, as continued capital inflows helped absorb steady dollar demand from oil refiners.

The rupee was also helped by a late surge in the euro which hit a session high in European trade after good demand at a Spanish bond auction.

Capital inflows into India's outperforming stocks are at $1.4 billion this year, adding to robust inflows of over $24 billion in 2012. Dealers said oil demand, which has been steady around $300-$400 million on an average daily basis, was being easily absorbed by inflows.